B1 20 S. YALE / SUITE 1500 / TULSA, OKLAHOMA 74136 C O R P O R A T I O N

March 4, 2008

Central Region Land Department

[918] 491-4900

.(918] 491-4854 [FAX]

ROYALTY AND OVERRIDING ROYALTY INTEREST OWNERS (See Attached Address List)

RE: West Blinebry-Drinkard Unit Sections 4, 8, 9, 16, 17 &21 , T21S, R37E, Lea County, NM

Apache Corporation (Apache) proposes unitizing the Blinebry, Tubb and Drinkard formations in Sections 4y=8̂ 9v=l=6?=-l-7=Fand, 21 (to.tafog=2-:4-8-0=00=aGres) in T21S, R37Eto perform secondary recovery operations through waterflooding of the Blinebry and Drinkard reservoirs. It is proposed that Apache be the Operator of this Unit since Apache operates approximately 90% of the wells included within the boundaries of the proposed unit. This portion of the field should perform in an analogous manner to the offsetting Central Drinkard, Northeast Drinkard and Warren waterflood units. As a result, Apache invites you to join with your royalty and/or overriding royalty interest in Apache's proposal to form the West Blinebry-Drinkard Waterflood Unit.

Geologic study indicates the productive intervals, though compartmentalized, are laterally continuous enough to waterflood. Production performance indicates the reservoir to be currently acting under a solution gas drive mechanism. The proposed unit area has cumulative primary production of 13.4 MMBO from the Blinebry, Tubb and Drinkard formations. Remaining primary production is 2.1 MMBO, yielding ultimate primary recovery of 15.5 MMBO.

Recoverable secondary reserves are estimated to be 6.2 MMBO, or 40% of the proposed primary recovery utilizing the existing well spacing to develop 80=aere-irve=spot=injechon~patterns. The total capital costs for this project are estimated to be $10,447,000.00 and as a royalty or overriding royalty interest owner, you will not be responsible for paying any of this initial capital expenditure. This cost will be borne by the working interest owners of the tracts included within the boundaries of the proposed waterflood unit.

Economic evaluation indicates this waterflood project will yield a 67% rate of return, net present after tax value of $77 M M and a development cost of less than $2/barrel. The majority of the wellbores are still active and can be converted to injection without extensive well work.

As a result of the aforementioned, enclosed for your review and further handling are the Unit Agreement for the West Blinebry-Drinkard Unit which has been executed on behalf of Apache Corporation. Exhibits A, B- l , B-2, B-3, and C are found at the end of the Unit Agreement. Exhibit "A" shows the proposed boundary for the unitized area. Exhibit " B - l " describes each tract and its respective working, royalty and overriding royalty ownerships, Exhibit "B-2" gives working interest owner Unit participation of each tract, Exhibit "B-3" describes lease and tract participation factor and Exhibit "C" identifies the Unitized Formation.

Oil Conservation Division

Case No. -—fA-ir — Exhibit No. A^L2

Page 2- West Blinebry-Drinkard Unit ' March 4, 2008

Apache respectively requests your early reply and consideration in joining the proposed West Blinebry-Drinkard Unit as proposed. Also, for your information, Apache has received preliminary approval from the Bureau of Land Management (majority royalty owner) for Apache's proposed unit boundary and tract participation formula of said Unit by letter dated February 28, 2008. Further, Apache also has obtained the required 75% working interest owner and majority royalty interest owner approval needed to proceed forward in filing for statutory unitization for this project with the New Mexico Oil Conversation Division. Once the Division renders its Order and Approval of Apache's West Blinebry-Drinkard Unit, all royalty and overriding royalty interest owners who have not ratified the Unit Agreement will be considered Forced Pooled pursuant to Section 29 of the Unit agreement. Apache's target date for initiating injection operations in this unit is set for the 4 th Qtr 2008.

Should you have any questions pertaining to Apache's proposed project, please feel free to contact Larry Phillips at (432) 682-9162, Mario Moreno (918) 491-4963 or Michelle Hanson (918) 491-4838, for any Land questions, or K(win=Mayes=(^eseR'oi^ for any Technical questions, otherwise please execute four (4) original Ratification and Joinder signature pages to the Unit Agreement, have properly notarized, and return same to Larry Phillips in the enclosed self addressed envelope provided for your convience within the next fifteen (15) days.

Thank you for your immediate attention in this matter and we look forward to your support in facilitating the implementation of this project.

Senior Land Advisor

Ends: Unit Agreement Unit Agreement Ratifications BLM Preliminary Approval Letter Return Envelope

Yours truly,

APACHE CORPORATION

Mario R. Moreno, Jr.

A L CONE PARTNERSHIP P 0 BOX 3457 LUBBOCK, TX 79452

ALBERT D WHITE JR 2402 SWEETWATER COUNTRY CLUB DR APOPKA, FL 32712

ALLIE M LEE TRUST C/O WELLS FARGO OG!\ P0 BOX 5383 DENVER, CO 80217

l

C7300 - 070

ALLISON SONGER 6523 SANTA FE AVENUE DALLAS, TX 75223

ANITA M MEBANE 6717 W HWY 180 SNYDER, TX 79549

ANN E PERKINS 803 JUNIPER0 SERRA STOCKTON, CA 95210

ANNA BESS CALFIN 3008 49TH ST LUBBOCK, TX 79413-4125

ARTHUR M LOCKHART FAMILY TRUST ARTHUR & ROGER LOCKHART CO TTEE 6231 E 6TH ST LONG BEACH, CA 90803-2117

AUVENSHINE CHILDRENS TEST. TRUST PO BOX 507 DRIPPING SPRINGS, TX 78620

B P AMERICA PRODUCTION CO 501 WESTLAKE PARK BLVD. HOUSTON, TX 77079 ATTN: CHARLIE HILL

BARBARA STOCK 18742 WOOD GLEN LN HOUSTON, TX 77084

BARNEY E LEONARD 4022 E WHITTIER TUCSON, AZ 85711-41 55

BART LEE BRATCHER 13316 WISTERWOOD ST AUSTIN, TX 78729

BETTY KYTE DREESSEN IRREV TST INGRID DREESSEN POWELL TTEE PO BOX 1665 LOS ALTOS, CA 94022

BETTY OWENS D0LPH 2913 LIVE OAK DRIVE ROWLETT, TX 75088

BEVERLY B BLAIR 2635 BAMBOO DR LAKE HAVASU CITY, AZ 86403

BILL B BRATCHER 10016 TREELINE WACO, TX 76712

BILL J MARKHAM ESTATE TRUST ROSEMARIE MARKHAM TRUSTEE 2500 WOODSIDE DR #1405 ARLINGTON, TX 76016

BILLIE BRENDA LE0LANC PO BOX 1315 RUIDOSO, NM 88355

BILLIE JUNE GILMORE C/O DIANA L SHEFIELD 3603 HANCOCK ST . AMARILLO, TX 79109-4138

BOBBIE GLENDA FLENNIKEN PO BOX 247 MORRISTOWN, AZ 85342-0247

BOYS & GIRLS CLUBS OF AMERICA SVP FINANCIAL SERVICES 1275 PEACHTREE ST NE ATLANTA, GA 30309-3506

BRADFORD ACE CHRISTMAS BOX 173 WAGON MOUND, NM 87752

CONOCOPHILLIPS COMPANY 600 N. DAIRY ASHFORD, 3WL-14066 HOUSTON, TX 77079 ATTN: TOM SCARBROUGH

BUTTRAM ENERGIES INC. 1980-1 501 OIL CENTER WEST 2601 NW EXPRESSWAY ST OKLAHOMA CITY, OK 7311 2-7272

C B JR MARKHAM ESTATE TRUST DTD 5-21-87 DONNA EDWARDS TTEE 2512 METZGAR RD SW ALBUQUERQUE, NM 87105-6336

CANDY CHRISTMAS PO BOX 771272 OCALA, FL 34477-1272

CARL DAVID GANZ JR C/O JOAN MILLER GANZ ATTY-IN-FCT PO BOX 65 FARMINGDALE, NY 11735

CAROL M BROS 4121 FAIRLAKES CT DALLAS, TX 75228

CAROLE N WATSON 8401 SUNSET AVE FAIR OAKS, CA 95628

CATHERINE ROACH TRUST C/O JPMORGAN CHASE BANK NA PO BOX 99084 FORT WORTH, TX 76199-0084

CATHIE MCCOWN P 0 BOX 658 DRIPPING SPRINGS, TX 78620-0658

CATHY GANZ JOHNSON C/O JOAN MILLER GANZ ATTY-IN-FCT PO BOX 65 FARMINGDALE, NY 11735

CECIL BOND KYTE PO BOX 30864 SANTA BARBARA, CA 93130

CECILE MARIE DREESSEN PO BOX 1696 POULSBO, WA 98370

CHARLES H COLL P 0 BOX 1818 ROSWELL, NM 88202-1818

CHARLES R HAWK 6466 262ND RD EFFINGHAM, KS 66023-4186

CHOSEN PEOPLE MINISTRIES INC 241 E. 51 " St. New York, NY 10022

CLARENCE R. MARKHAM FAMILY TRUST CLARENCE RICHARD MARKHAM & JOYCE STANLEY, TRUSTEE 3110-38TH STREET LUBBOCK, TX 79413

CLARKE C COLL PO BOX 1818 ROSWELL, NM 88202-1818

COLLEGE OF THE SOUTHWEST 6610 LOVINGTON HWY HOBBS, NM 88240-91 20

DANA COLLINS NEUGEBAUER 611 PENNSYLVANIA AVE SE #395 WASHINGTON, DC 20003

DANIEL L VEIRS 1209 WEST CUTHBERT MIDLAND, TX 79701

DANIEL W CODER 24920 E. Roxbury Place Aurora, CO 8001 6

DAVID MCINTOSH PO BOX 12019 AUSTIN, TX 7871 1-2019

DEBRA LOWE FINN -'4601 - 50TH STREET STE #212 LUBBOCK, TX 79414

DEVON ENERGY-PRODUCTION CO LP PO BOX 843559 DALLAS, TX 75284-3559

DIANA-J SOLARSKI 6320 KALE DR AMARILLO, TX 79109

DIANE PATRICK TIPTON 1505 W CUTHBERT AVE MIDLAND, TX 79701

DION LOWE 2306 CYPRESS PT W AUSTIN, TX 78746

DONALD MARSHALL MARKHAM FAMILY TRUST DTD 4-12-95 DONALD MARSHALL MARKHAM & LADONNA REIGER MARKHAM, TTEE PO BOX 241 CENTER POINT, TX 78010-0241

DR RICHARD B LANGER PO BOX 166 . . KUALAPUU MOLOKA, HI 96757

DWAIN R KITE ESTATE MARY F KITE IND EXEC 2710 LYNNWOOD DR COLUMBIA, MO 65203

EDWARD T DREESSEN JR PO BOX 830.. PALO CEDRO, CA 96073

ELDON K TURNER &. RUEDELE S TURNER 5306 77TH STREET LUBBOCK, TX 79424

ELKS NATIONAL FOUNDATION ATTN JIM OKELLY DIRECTOR 2750 N LAKE VIEW AVE CHICAGO, IL 60614-2256

ELLEN HIGLEY 6640 N W PARK PLAZA DRIVE KANSAS CITY, MO 64151

ELLIOTT INDUSTRIES PO BOX 3300 ROSWELL, NM 88202

ELLIOTT-HALL CO ATTN: GEORGE HALL P 0 BOX 1231 OGDEN, UT 84402

ELYSE S PATTERSON TRUST INV LLC FARMERS NATIONAL CO AGENT #61 214801 - OIL & GAS DEPT. PO BOX 3480 OMAHA, NE 68103-0480

EMILY BERGLUND JOHNSON 460 PEAVEY LANE WAYZATA , MN 55391

ERIC J COLL PO BOX 1 818 ROSWELL, NM 88202-1818

FAIRWAY OIL & GAS COMPANY P.O. BOX 845 SPARTA, NJ 07871

FAYE COLLINS DUNAVANT ADDRESS UNKNOWN UNKNOWN, DE 99999

FLOYD J & DORIS C SUTTON REV LIVING TRUST 1100 PACIFIC CT ATCHISON, KS 66002-2774

FOREST HOME INC C/O DAVID CARLSON CFO 40000 VALLEY OF THE FALLS FOREST FALLS, CA 92339

GENE L DUKE 8303 Rochester Ave. LUBBOCK, TX 79424

GEORGE ELMER GOINS 1107 PONDEROSA DR HOBBS, NM 88242

GEORGIA HAHN PO BOX 412 EUNICE, NM 88231

GERALD DALE HIGLEY 1 3521 GREEN CEDAR LN OKLAHOMA CITY, OK 73131

GLEN E FARMER 2829 STUTZ DRIVE MIDLAND, TX 79705

GRACIELA LEONARD 4022 E WHITTIER TUCSON, AZ 85711-4155

GUNSMOKE ENERGY COMPANY 6608 BRYANT TRVIN RD FORT WORTH, TX 76135

H L LOWE TRUST F/B/O HALEY LOWE ODELL LOWE TRUSTEE 4601 - 50TH STREET STE #21 2 LUBBOCK, TX 79414

HAZEL K SHOEMAKER 1204 SCRAMBLER LN EDMOND, OK 73025

HELEN JANE CHRISTMAS BARBY P 0 BOX 425 OKARCHE, OK 73762

HELEN M OWENS 219 ROSEBUD STEPHENVILLE, TX 76401-6078

HELEN R GENTRY •• - . 7059 DAWSON RD #96 CINCINNATI, OH 45243-2554

HERD PARTNERS LTD P 0 BOX 130 MIDLAND, TX 79702-0130

HERSHEL T & JUDY B OWENS REVOC LIVING TRUST 881 5 NORTH 174TH EAST AVE OWASSO, OK 74055

HIEN THI NGO NGUYEN 13109 RUSSET LEAF LN SAN DIEGO, CA 92129

HINKLE INVESTMENT CO P 0 BOX 967 -KING CITY, CA 93930-2967

IDA MILLER ESTATE JOAN M GANZ & JOHN W LYTTLE JR PO BOX 65 FARMINGDALE, NY 11735-0065

I LA JAYNE CLARK 4224 OLD BETHANY RD MOODY, TX 76557

INGRID DREESSEN POWELL PO BOX 416 LOS ALTOS, CA 94023

J HAWK PARTNERSHIP ADDRESS UNKNOWN UNKNOWN, DE 99999-9999

J L BURKE III 8928 MEADOW KNOLL DRIVE DALLAS, TX 75243

JACK D KNOX ONE TURTLE CREEK 3878 OAK LAWN SUITE 500 DALLAS, TX 75219

JACK MARKHAM 1500 BROADWAY, SUITE 1212 LUBBOCK, TX 79401

JAMES C UNDERWOOD 303 E 400 MULLINVILLE, KS 67109

JAMES H WEBBER 914 LAKE POINT CIRCLE MCKINNEY, TX 75070

JAMES M COLLINS 164 THOMAS RIDGE RD BURNET , TX 7861 1

JAMES M OWENS P 0 BOX 1003 DUMAS, TX 79029-1003

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JANET E CARTER .2918 LIVE OAK DRIVE ROWLETT, TX 75088

JEFFEREY MILLS ELLIOTT 3407 SMOKETREE COMMONS DR PLEASANTON, CA 94566-7963

JESSICA GRANT FRIDAY JOANN P KRUCKEBERG JOHN P BRUNKOW 3750 ROSEMEAD PKWY STE 2218 6320 BROOKVIEW AVE 6062 SCRIPPS STREET DALLAS, TX 75287 EDINA, MN 55424 SAN DIEGO, CA 921 22

JOHN REDFERN III S S l F r Z J 0 N F C 0 L L

P 0 B 0 X 5 0 8 9 0 ?878 OAK LAWN SUITE 500 P 0 BOX 1818 MIDLAND, TX 79710 K i y , ! , ROSWELL, NM 88202-1 81 8

DALLAb, IX / o z l y

JON F COLL II 7335 WALLA WALLA SAN ANTONIO, TX 78280-5242

JONES-DAUBE MINERAL COMPANY BOX 1 169 DUNCAN, OK 73534

JOSHUA SONGER 312 FRANKFORD AVENUE #216 LUBBOCK, TX 79416

.JOYCE ANN BROWN PO BOX 72 WATROUS, NM 87753

JULIA BENHAM TESTAMENTARY TRST ALLEN W VILLEMARETTE TRUSTEE 10157 S. RUNNYMEDE PL BATON ROUGE, LA 70815

JUNE D SPEIGHT C/O F J DANGLADE PROPERTIES PO DRAWER 1687 LOVINGTON, NM 88260-1687

KATHERINE A KECK 1 801 AVE OF THE STARS STE 446 LOS ANGELES, CA 90067-5906

KATHERINE LYNNE MEIER 5630 ANN ARBOR DR BOKEELIA, FL 33922

KATHRYN ANN PRICE 1148 BRIARCLIFF WICHITA, KS 67207

KAY LOWE ATCHESON 3513 105 TH ST LUBBOCK, TX 79423

KELLY LOWE READ 207 COTTONWOOD .. LEVELLAND, TX 79336

KENNETH G CONE TRUSTEE KATHERINE SHAPERA POA POBOX11310 MIDLAND, TX 79702

KERRY PORTER HC 73 BOX 41-1 HARTSHORNE, OK 74547

LANA OWENS 764 WILDWOOD TRAIL WEATHERFORD, TX 76085

LANELLE DAHNKE CLEMENTS 1889 FALL RIVER ROAD ESTES PARK, CO 80517-9106

LARRY K LOWE 2313 BROADWAY LUBBOCK, TX 79401-2916

LAUREN LOWE MATTHEWS 3709 LENOX DRIVE FORT WORTH, TX 76107

LORETTA D LOWE 7235 VILLA MARIA LN AUSTIN, TX 78759

LORRAINE S BLACK TRUST B ROBERT K BLACK TRUSTEE 6608 N WESTERN #262 OKLAHOMA CITY, OK 7311 6

MARGARET F EMERY 16 EMERY ROAD CLAYTON,NM 88415

MARGARET PEABODY DERRILE E PEABODY POA 1611 CHERRY WOODWAY LODl, CA 95240

MARILYN BURKE SALTER 20031 82 AVE W EDMONDS, WA 98026

MARILYN HANSON 1613 W PECAN MIDLAND, TX 79705-7427

MARJORIE ALICE KASTMAN P 0 BOX 5930 LUBBOCK, TX 79408-5930

MARJORIE JEAN NAGLE 5322 JUDALON LANE HOUSTON, TX 77056-7221

MARK FLENNIKEN 4010 - 100TH PL LUBBOCK, TX 79423*

MARY DUKE PEARLBROOK EST JOHN W LYTTLE JR & JOAN MILLER GANZ PO BOX 65 FARMINGDALE , NY 1 1 735-0065

MARY JANE ANDREWS 3908 LEXINGTON DR ALEXANDRIA, LA 71303-3527

MARY T CHRISTMAS HOLLADAY PO BOX 848 ALICE, TX 78333

MAX COLL II 83 LA BARBERIA TRAIL SANTA FE, NM 87505-9008

MAX W COLL III 7625-2 EL CENTRO BLVD LAS CRUCES, NM 88012

MELANIE COLL DE TEMPLE 5653 TOBIAS AVE VAN NUYS, CA 9141 1

MELINDA ANN ELLIOTT 2523 WASHINGTON WAY ALMEDA, CA 94501-5326

MERCO OF OKLAHOMA INC PO BOX 18607 OKLAHOMA CITY, OK 73154-0607

MICHAEL-P CODER PO BOX 3707 PARKER, CO 80134

MICHELLE SONGER SPENCE 709 FOREST RIDGE GARLAND, TX 75042

MILWARD KENT MILLER 204 RIVERHILL BLVD KERRVILLE, TX 78028

MOLLY MICHELE AZOPARDI PO BOX 620 WIMBERLEY, TX 78676

MONTGOMERY PETROLEUM INC P 0 BOX 600490 DALLAS, TX 75360-0490

SHIRLEY MARCIA TURNER 8688 GREENWAY ROAD SOUTHHAVEN, MS 38671

MYLES LYNDON COLLINS II 1405. HAVERFORD.WAY_ .. MCKINNEY, TX 75071-7526

NANCY COLLINS THETFORD 5976 E STATE RD 41 ROPESVILLE, TX 79358

NANCY I FARMER 5136 E 35TH STREET TULSA, OK 74135

NEW MEXICO BOYS & GIRLS RANCHES INC 6209 HENDRIX NE ALBUQUERQUE, NM 87110

NM O&G LTD JIM CONE GENERAL PARTNER PO BOX 10217 LUBBOCK, TX 79408

NOBLE E FLENNIKEN 4132 KILLION DRIVE DALLAS, TX 75229-6227

OPAL DENSON CHARLES R FULKS POA PO BOX 829 SNYDER, TX 79550-0829

PERRY H UNDERWOOD 5640 BEVERLY LN MISSION, KS 66202

PETER ELLIOTT & JANET ELLIOTT POGO PRODUCING COMPANY R JANE EPPES 3711W96THST 700 MILAM STE 3100 BOX 962 LEAWOOD, KS 66206 HOUSTON, TX 77002 FLIPPIN, AR 72634

RALPH J PRESTON 6201 NEWCASTLE DR BELLAIRE, TX 77401-3813

RANDY LEE CONE PO BOX 552-JAY, OK 74346

RAYMOND FOSTER REV LIVING TRST RAYMOND FOSTER & LEITA FOSTER TRUSTEES PO BOX 231 HORTON, KS 66439

RICHARD P LINDBERG & CLAUDIA K LINDBERG 81 19 59TH AVENUE NORTH NEW HOPE, MN 55428

ROBERT J LEONARD THE LEONARD TRUST DTD 11-10-93 P 0 BOX 400 ROSWELL, NM 88202-0400

ROBERT KNIGHT C/O J ROBERT SHINE POA PO BOX 1407 NEW ALBANY, IN 47151-1407

ROBERTT HARTLEY P 0 BOX 1024 CLOVIS, NM 88102-1024

ROBERT W PETERS 10 TUMBLEWEED N W ALBUQUERQUE, NM 87120

ROBERTA BUCKELEW 2510 W WATER ST YUMA, AZ 85364

RONALD 0 HOLMAN 5949 SHERRY LANE STE 1700 DALLAS,TX 75225

RONNY P LOWE P 0 BOX 1381 WOLFFORTH, TX 79382

S E CONE JR P 0 BOX 10321 LUBBOCK, TX 79408-3321

SABINE ROYALTY TRUST BANK OF AMERICA NA ESCROW AGENT LBX 840887 DALLAS, TX 75284-0887

SALLY RODGERS 152BARROYO HONDO ROAD SANTA FE, NM 87508

SAMUEL A SCHRADER JR ESTATE JANE HAYES SCHRADER EXECUTRIX PO DRAWER 250 VICTOR, MT 59875-0250

SHANA LOWE CONINE 5605 EQUESTRAIN COURT GRANBURY, TX 76049

SHATTUCK ST MARYS SCHOOLS PO BOX 218 . FARIBAULT, MN 55021-0218

SHRINERS HOSPITALS FOR CHILDREN C/O THE NORTHERN TRUST BK OF TX PO BOX 226270 DALLAS, TX 75222-6270

SILVERADO OIL & GAS LLP PO_ BOX 52308 TULSA, OK 741 52

SOUTHWESTERN BAPTIST THEOLOGICAL SEMINARY 1601 ELM ST STE 1700"" DALLAS, TX 75201-4741

STANLEY WHITE 3789 CHAPALA . YUMA, AZ 85365

SUE SAUNDERS GRAHAM P 0 BOX 987 ROSWELL, NM 88202-0987

SUSAN BIORKMAN PO BOX 1743 VENTURA, CA 93002

SUZAN FANNIN 5903 85TH STREET LUBBOCK, TX 79424-3602

TEDDY L HARTLEY PO BOX 845 CLOVIS, NM 88102-0845

TEXACAL OIL AND GAS INC 4299 MACARTHUR BLVD 207 NEWPORT BEACH, CA 92660

TEXAS TECHNOLOGICAL UNIVERSITY P 0 BOX 45025 LUBBOCK, TX 79409-5025

THE BISHOP WHIPPLE SCHOOLS ADDRESS UNKNOWN UNKNOWN, DE 99999-9999

THE HAWK TRUST WILMA J HAWK TRUSTEE 408 COLORADO STREET HIGHLAND, KS 66035

THE LEONARD TRUST ROBERT LEONARD,TRUSTEE P 0 BOX 400 ROSWELL, NM 88202

™-°«™™ r : : s r R Y PBOPERTY ;™-COOMPANV

PO BOX 1336 „ W 1 1 T H A V E PO BOX 1300 KILGORE, TX 75662 COLUMBUS, OH 43201 R 0 S W E L U N M 8 8 2 0 2 - 1 3 ° °

THERYLENE KNOX HELM 4401 EDMONDSON DALLAS, TX 75205

THOMAS A CLURE 326 NORTH SEVENTH AVENUE DULUTH, MN 55806-2404

THOMAS C BRUNKOW 4801 MT ARMOUR DR SAN DIEGO, CA 921 11-3922

THOMAS CARLTON HIGLEY 3812 PARAMOUNT AMARILLO, TX 79109

TIMOTHY T LEONARD ESTATE KEVIN K LEONARD EX PO BOX 50688 MIDLAND, TX 79710

TOM CONE CHILDRENS TRUST UW OF KATHLEEN CONE C/O BANK OF OKLA SUCC TRUSTEE PO BOX 1588 TULSA, OK 74101-1588

TOM R CONE P 0 BOX 778 JAY, OK 74346-0778

TOMMYE GLENN FLENNIKEN PO BOX 247 MORRISTOWN, AZ 85243-0247

TONY G KNOTT & LAURIE A KNOTT TRUSTEES FOR THE KNOTT TRUST 2713 GOLD COURT HOBBS, NM 88240

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VIVIAN LOWE ANSELMI 4601 - 50TH STREET STE #212 LUBBOCK, TX 79414

WAIKIKI PARTNERS LP P 0 BOX 2127 MIDLAND, TX 79702-2127

SYSTEM REAL ESTATE 200 TECHNOLOGY WAY, SUITE 2079 COLLEGE STATION, TX 77845-3424 ATTN: MELODY MEYER

WILBUR C HIGLEY JR PO BOX 12019 AUSTIN, TX 7871 1-2019

WILLIAM RAY PROCTOR 1209 S COUNTY ROAD WEST ODESSA, TX 79763

DARLA CLAYTON 5302 9 1 " ST. LUBBOCK, TX 79424

JAN CLARK 131 1 N. CR 1600 • LUBBOCK, TX 79415

6120 S. YALE / SUITE 1500 / TULSA, OKLAHOMA 74136 C O R P O R A T I O N

Central Region Land Department

[918] 491-4900

[918] 491-4854 [FAX]

April 4, 2008

Ms. Darla Claton 5302 91s' Street Lubbock, TX 79424

Ms. Jan Clark 1311 NCR 1600 Lubbock, TX 79415

RE: West Blinebry-Drinkard Unit Sections 4, 8, 9, 16, 17, & 21 , T21S, R3 7E, Lea County, NM

Apache Corporation (Apache) proposes unitizing the Blinebry, Tubb and Drinkard formations in Sections 4, 8, 9, 16, 17, and 21 (totaling 2,480.00 acres) in T21S, R37Eto perform secondary recovery operations through waterflooding of the Blinebry/Tubb/Drinkard reservoirs. As an active operator in this area, Apache Corporation will be the Operator of this Unit since Apache operates approximately 69% of the wells included within the' boundaries of the proposed unit. This field is nearing depletion and without unitization and waterflooding, most of the wells will be abandoned in the near future. As a result, as a royalty and overriding royalty interest owner, Apache invites you to participate in Apache's proposal to form the West Blinebry-Drinkard Waterflood Unit.

You have recently received information pertaining to Apache's waterflood unit proposal i.e. Unit Agreement and Ratifications of the Unit Agreement. In accordance with the information provided to us by Ms. Clayton on the death of Ms. Fay Collins Dunavant, please find enclosed a revised Exhibit B-l to the Unit Agreement previously provided to you. This Exhibit B-l reflects the following changes to Tracts 11 and 12 where Ms. Fay Collins Dunavant owned a.078125% royalty interest. These two (2) tracts have been changed to reflect Ms. Jan Clark with .0390625% royalty interest and Ms. Darla Clark with a .0390625% royalty interest.

Apache respectively requests your early reply and consideration in joining the proposed West Blinebry-Drinkard Unit as proposed. Also, for your information, Apache currently has a hearing date set for May 15, 2008 with the New Mexico Oil Conversation Division for final approval by the Division of Apache's proposed waterflood unit.

Page 2 - West Blinebry Drinkard Unit April 4, 2008

Should you have any questions pertaining to Apache's proposed project, please feel free to contact Mario Moreno at (918) 491-4963 or Michelle Hanson (918) 491-4838, for any Land questions or Kevin Mayes (Reservoir Engineer) at (918) 491-4972 for any Technical questions, otherwise please execute the four (4) original Ratification and Joinder signature pages to the Unit Agreement previously sent to you, have properly notarized, and return same to the undersigned as soon as reasonably possible. We look forward to your support in facilitating the implementation of this project.

APACHE CORPORATION

Mario R. Moreno, Jr. Senior Land Advisor

Ends: Exhibit B-l

6120 S. YALE / SUITE 1500 / TULSA, OKLAHOMA 74136 C O R P O R A T I O N

Central Region Land Department

(318) 491-4900

[918] 491-4854 (FAX)

April 8, 2008

Ms. Diane P. Tipton 1505 W. Cuthbert Street Midland, Texas 79701

RE: West Blinebry-Drinkard Unit Sections 4, 8, 9, 16, 17, & 21 , T21S,.R37E, Lea County, NM

Apache Corporation (Apache) proposes unitizing the Blinebry, Tubb and Drinkard formations in Sections 4, 8, 9, 16, 17, and 21 (totaling 2,480.00 acres) in T21S, R37E to perform secondary recovery operations through waterflooding of the Blinebry/Tubb/Drinkard reservoirs. As an active operator in this area, Apache Corporation will be the Operator of this Unit since Apache operates approximately 69% of the wells included within the boundaries of the proposed unit. This field is nearing depletion and without unitization and waterflooding, most of the wells will be abandoned in the near future. As a result, as a royalty and overriding royalty interest owner, Apache invites you to participate in Apache's, proposal to form the West Blinebry-Drinkard Waterflood Unit.

You have recently received information pertaining to Apache's waterflood unit proposal i.e. Unit Agreement and Ratifications of the Unit Agreement. In accordance with my most recent conversation with Mr. Dan Veirs, he has indicated that you should be credited with one-half of his interest shown on Tracts on Tracts 13B, 14A, and 14B of the Exhibit B-l previously sent to you. As a result, please find enclosed a revised Exhibit B-l to the Unit Agreement previously provided to you. This Exhibit B-l reflects the following changes to Tracts 13B, 14A, and 14B where Dan Veirs either owned a royalty interest or overriding royalty interest. These three (3) tracts have been changed to reflect Diane Patrick Tipton with the following interests: Tract 13B .031250%, Tract 14A ..560000% overriding royalty interest, and Tract 14B .031250% royalty interest.

Apache respectively requests your early reply and consideration in joining the proposed West Blinebry-Drinkard Unit as proposed. Also, for your information, Apache currently has a hearing date set for May 15, 2008 with the New Mexico Oil Conversation Division for final approval by the Division of Apache's proposed waterflood unit.

Page 2 - West Blinebry Drinkard Unit April 8, 2008

Should you have any questions pertaining to Apache's proposed project, please feel free to contact Mario Moreno at (918) 491-4963 or Michelle Hanson (918) 491-4838, for any Land questions or Kevin Mayes (Reservoir Engineer) at (918) 491-4972 for any Technical questions, otherwise please execute the four (4) original Ratification and Joinder signature pages to the Unit Agreement previously sent to you, have properly notarized, and return same to the undersigned as soon as reasonably possible. We look forward to your support in facilitating the implementation of this project.

APACHE CORPORATION

Ends: Exhibit B-l

61 20 S. YALE / SUITE 1500 / TULSA, OKLAHOMA 74136 C O R P b R A T I O N

Central Region Land Department

[91B] 491-4900

[918) 491-4854 [FAX) April 11,2008

ROYALTY AND OVETxRJDING ROYALTY INTEREST OWNERS (See Attached Address List)

RE: West Blinebry-Drinkard Unit Sections 4, 8, 9, 16, 17 & 21; T21S, R37E, Lea County, NM

Apache Corporation (Apache) proposes unitizing the Blinebry, Tubb and Drinkard formations in Sections 4, 8, 9, 16, 17, and 21 (totaling 2,480.00 acres) in T21S, R37E to perform secondary recovery operations through waterflooding of the Blinebry and Drinkard reservoirs. It is proposed that Apache be the Operator of this Unit since Apache operates approximately 90% of the wells included within the boundaries of the proposed unit. This portion of the field should perform in an analogous manner to the offsetting Central Drinkard, Northeast Drinkard and Warren waterflood units. As a result, Apache invites you to join with your royalty and/or overriding royalty interest in Apache's proposal to form the West Blmebry-Drinkard Waterflood Unit.

As a Royalty and/or Overriding Royalty Interest Owner, you recently received Apache's package of information pertaining to its proposal to form the subject waterflood unit. Included was the. Unit Agreement along with four (4) Unit Ratifications to the Unit Agreement covering the West Blmebry-Drinkard Unit. To date Apache has not received your executed Unit Ratification mstruments.

Apache respectively requests your early reply and consideration in joining the proposed West Blmebry-Drinkard Unit as proposed. Also, for your information, Apache has received preliminary approval from the Bureau of Land Management and the State of New Mexico (majority royalty owners) for Apache's proposed unit boundary and tract participation formula of said Unit Further, please be advised that Apache has obtained the required 75% working interest owner and royalty/overriding royalty interest owner approval needed to proceed forward in filing for statutory unitization for this project with the New Mexico Oil Conversation Division. The hearing date for the Division to hear Apache's proposal to unitize is set for May 15, 2008. Once the Division renders its Order and Approval of Apache's West Blinebry-Drinkard Unit, all royalty and overriding royalty interest owners who have not ratified the Unit Agreement will be considered Forced Pooled pursuant to Section 29 of the Unit agreement. Apache's target date for initiating injection operations in this unit is set for the 4 t h Qtr 2008.

Should you have any questions pertaining to Apache's proposed project, please feel free to contact, Mario Moreno (918) 491-4963 or Michelle Hanson (918) 491-4838, for any Land questions, or Kevin Mayes (Reservoir Engineer) (918) 491-4972 for any Technical questions, otherwise please execute the four (4) original Ratification and Joinder signature pages to the Unit Agreement, have properly notarized, and return same to the undersigned in the

Page 2- West Blmebry-Drinkard Unit April 11,2008

previously sent self addressed envelope provided for your convience as soon as reasonably possible.

Thank you for your immediate attention in this matter and we look forward to your support in facilitating the implementation of this project.

Yours truly,

APACHE CORPORATION

Mario R. Moreno, Jr. Senior Land Advisor

ROYALTY AND OVERRIDING ROYALTY INTEREST OWNERS

ANN E PERKINS 803 JUNIPERO SERRA STOCKTON, CA 95210

BOYS & GIRLS CLUBS OF AMERICA SVP FINANCIAL SERVICES 1275 PEACHTREE ST NE ATLANTA, GA 30309-3506

CECILE MARIE DREESSEN PO BOX 1696 POULSBO, WA 98370

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ROYALTY AND OVERRIDING ROYALTY INTEREST OWNERS

SHANA LOWE CONINE 5 6 0 5 EQUESTRAIN COURT

GRANBURY, TX 76049

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THE BISHOP WHIPPLE SCHOOLS ADDRESS UNKNOWN UNKNOWN, DE 99999 -9999

UNIVERSITY OF NEW MEXICO REGENTS C/O DIRECTOR OF REAL ESTATE 1712 LAS LOMAS NE ALBUQUERQUE, NM 87131

WAIKIKI PARTNERS LP P 0 BOX 2127 MIDLAND, TX 79702-21 27

WILBUR C HIGLEY JR

PO BOX 12019 AUSTIN, TX 78711-2019

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B P AMERICA PRODUCTION CO 501 WESTLAKE PARK BLVD. HOUSTON, TX 77079 ATTN: CHARLIE HILL

BARBARA STOCK 1 8 7 4 2 WOOD GLEN LN HOUSTON, TX 7 7 0 8 4

BILLIE JUNE GILMORE C/O DIANA L SHEFIELD 3603 HANCOCK ST

AMARILLO, TX 79109-4138

CONOCOPHILLIPS COMPANY 600 N. DAIRY ASHFORD, 3WL-14066 HOUSTON, TX 77079 ATTN: TOM SCARBROUGH

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DANIEL W CODER 2 4 9 2 0 E. Roxbury Place

Aurora, CO 80016 PKT RE-MAILED 4/7

Darla Claytori 5302 91 "S t . Lubbock, TX 79424

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DR RICHARD B LANGER PO BOX 166 KUALAPUU MOLOKA,HI 9 6 7 5 7

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HERD PARTNERS LTD P 0 BOX 130 MIDLAND, TX 7 9 7 0 2 - 0 1 3 0

HINKLE INVESTMENT CO P 0 BOX 967 KING CITY, CA 93930-2967

ROYALTY AND OVERRIDING ROYALTY INTEREST OWNERS

JESSICA GRANT FRIDAY JOANN P KRUCKEBERG JOHN REDFERN III 3750 ROSEMEAD PKWY STE 221 8 6320 BROOKVIEW AVE P 0 BOX 50890 DALLAS, TX 75287 EDINA, MN 55424 MIDLAND, TX 79710

JONES-DAUBE MINERAL COMPANY BOX 1169 DUNCAN, OK 73534

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JULIA BENHAM TESTAMENTARY TRST ALLEN W VILLEMARETTE TRUSTEE 6765 CORPORATE BLVD UNIT 6307 BATON ROUGE, LA 70809

JUNE D SPEIGHT C/O F J DANGLADE PROPERTIES PO DRAWER 1687 LOVINGTON, NM 88260-1687

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RANDY LEE CONE PO BOX 552 JAY, OK 74346

KENNETH G CONE TRUSTEE KATHERINE SHAPERA POA P 0 BOX 11310 MIDLAND, TX 79702

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LORRAINE S BLACK TRUST B ROBERT K BLACK TRUSTEE 6608 N WESTERN #262 OKLAHOMA CITY, OK 731 1 6

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WAIKIKI PARTNERS LP PO BOX 21 27 MIDLAND, TX 79702-2127

WEST TEXAS STATE UNIVERSITY A&M SYSTEM BUILDING SUITE 3000 200 TECHNOLOGY WAY

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